Washington: President Donald Trump has warned that countries imposing digital taxes on American tech companies could face “additional tariffs” on their exports to the United States if they do not withdraw such laws.
"With this TRUTH, I put all Countries with Digital Taxes, Legislation, Rules, or Regulations, on notice that unless these discriminatory actions are removed, I, as President of the United States, will impose substantial additional Tariffs on that Country's Exports to the USA, and institute Export restrictions on our Highly Protected Technology and Chips," Trump said in a social media post.
In the post, Trump claimed that such legislation was "designed to harm, or discriminate against, American Technology" and that it gave a pass to firms from US tech rival China.
The Trump administration was reportedly weighing potential sanctions against European Union officials or member state representatives involved in enforcing the bloc’s landmark Digital Services Act. Several countries, especially in Europe, have imposed taxes on the revenue of major digital service companies like Alphabet’s Google, Meta’s Facebook, Apple, and Amazon.
These digital taxes have been a persistent point of tension in US trade relations across multiple administrations. Trump has also previously threatened to impose tariffs on countries like Canada and France over differences related to the digital services taxes.
